Nov 9, 2010

Perfectly timed for the pre-Hanukkah crowds, doughnuts are back in Israel, a decade after the shameful defeat endured by American Dunkin' Donuts, which left the Jewish state with its tail between its legs.

These days, the doughnuts are being sold in selected Alonit convenience stores and according to initial tests, are enjoying great success. Blue Square Group, which owns Alonit, says its store locations along the highways gives their doughnuts an edge sales wise.

In contrast to the Dunkin' Donuts branches which were located in major cities and which failed miserably in Israel. In honor of Hanukkah, the doughnuts will be available throughout the Alonit stores.

A little reminder of the last time doughnuts tried to take over the Israeli market: The first Dunkin' Donuts store opened its doors near Rabin Square in Tel Aviv in 1996 and was considered, at least in the first few weeks of operation – as the biggest selling branch in the world.

The group closed its doors in Israel in 2001 after major losses and failure to merge with various companies. Beyond the doughnuts themselves that couldn't crack the secret to the Israeli palette, it was the Intifada that supplied the death blow for the group's operations in Israel. Tourism slowed, sales plummeted and debts finally brought an end to doughnuts in Israel.